How do I use Credit card cheques?

When you receive your credit card, you will also receive some credit card cheques in the post.

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What is credit scoring?: Most of the major credit card companies use their own credit scoring systems – normally but not always in conjunction with a credit rating from a credit reference agency.
What is the new Chip and Pin system?: The new Chip and PIN initiative is a system being introduced in the UK in 2004 to reduce counterfeit and stolen card fraud.
What is a Balance Transfer?: Transferring balances has become a popular and easy way to consolidate multiple card balances in one place, while simultaneously making significant savings on interest payments.
Why is it worth making a Balance Transfer?: If you have a large outstanding balance on one or more credit and store cards – you will undoubtedly be able to save money by transferring your balance to another credit card.
My Credit Card is lost or stolen. What should I do?: If you cannot find your credit cards you need to report them as lost or stolen using the emergency number provided by your credit card issuer, this will be a 24 hour/365 days a year number. If you have more than one credit card you will need to ring all the separate companies.

These are supplied as a convenient way of taking money from your credit account- to pay off other credit cards, loans or bills - or simply to put straight into your bank account. It's an easy way of covering a payment when you do not have the ready cash. The other way to perform this same transaction is to ring up the credit card issuer and arrange a balance transfer.

Rates of interest are charged on these cheques, varying between credit card companies, and they may be subject to a handling charge of 2%. The interest and handling charges will be made clear to you on the letter accompanying the cheques, and you should read this information carefully before using the cheque. The charges will usually be the same as for cash withdrawals.